Industry Overview
The
biscuit-making industry in India has witnessed substantial growth due to the increasing consumption of biscuits as an on-the-go snack. Biscuits are widely consumed across different age groups and demographics. With the rise of packaged food products, biscuits have become a daily staple in many households. The industry includes the manufacturing of various types of biscuits, such as cream-filled, plain, and flavored biscuits, catering to a broad consumer base. Modern production techniques, innovative packaging, and branding have further propelled the growth of this business.
Scale and Profitability of Industry
The
biscuit-making industry is one of the most
profitable food processing businesses due to the low cost of ingredients like
flour, sugar, and
butter, combined with the ease of mass production. The business can be started at a small scale with minimal investment, and gradually expanded into a large-scale operation. The industry is
highly scalable, with increasing demand for biscuits from
urban and rural markets. Profit margins are good because of economies of scale and the ability to maintain low production costs while selling at competitive prices.
Subsidy Opportunities
The
PMKSY (Pradhan Mantri Kisan SAMPADA Yojana) offers subsidies for
food processing businesses, which include
biscuit-making units. Under the
MSME (Micro, Small, and Medium Enterprises) scheme, businesses can also access various grants and financial assistance for machinery purchase, factory setup, and working capital.
Eligibility Criteria
- The business must be registered under FSSAI (Food Safety and Standards Authority of India).
- Must have a viable business plan demonstrating profitability and sustainability.
- The applicant should have a track record of running a food business or related ventures.
Project Cost and Subsidy
- Project Cost: The cost of setting up a small-scale biscuit-making unit typically ranges between ₹8 lakhs to ₹20 lakhs, depending on the machinery and infrastructure.
- Subsidy: Government schemes such as PMKSY can offer up to 50% subsidies on project costs, depending on the location and size of the unit.
To apply for the Food Processing Scheme, the following mandatory documents are required for new enterprises (Individuals/Firms) as outlined in the manual
1. PAN Card of concerned/all promoters.
2.Aadhaar Copy & Photo of all promoters/guarantors.
3. Address Proof: Any of the Officially Valid Documents (OVD) such as:
o Utility bill (not more than two months old) from any service provider (Electricity, telephone, post-paid mobile phone, piped gas, water bill).
o Property or Municipal tax paid receipt.
o Ration Card (Individual).
o Driving Licence
o Aadhaar Card.
o Voter ID Card.
4. Details of the site where the unit is to be established, including whether it is owned/rented/leased, along with proof (Lease/rent agreement should be for more than the loan repayment period).
5. Photocopy of Bank
6. Estimates and Quotation of all capital expenditure and machinery and equipment to be purchased. Statement/Bank Passbook for the last 6 months.
For existing enterprises with a turnover of less than 1 crore, similar documents are required, including PAN Card, Aadhaar, address proof, and site details.
If you need more specific information or additional documents, please let me know!
